Government measures would already offset inflation. A wage increase of ten percent is therefore no longer necessary, according to the employers of the metal workers. They were referring to the demands of the union. An agreement in the collective labor agreement negotiations is therefore not in sight.
Calculations by the Ministry of Finance and the Chamber of Commerce show that “large parts of inflation have already been compensated in 2022”, FMTI (Fachverband Metalltechnical Industry) – chairman Christian Knill wrote in a broadcast. The Chamber of Commerce estimates that the measures taken by the government fully cover or even overcompensate the inflation costs for very low incomes. With low incomes, 75 percent of the additional costs would be covered and with average salaries above 50 percent.
According to Knill, the increased child benefit and measures such as the higher income tax limit from 2023 must be taken into account. The government measures would largely safeguard purchasing power. Therefore, the union’s demands for a pay rise of about ten percent are “unrealistic and lack a reasonable basis.” Tax-free one-off payments from companies could significantly increase real wages.
Positions vary
The first round of negotiations on the 2023 collective labor agreement for metalworkers started at the beginning of October. In addition to more income, the unions demand, among other things, 1,000 euros for starting apprentices, a new allowance for Saturday work and that the sixth week of vacation must be made more easily. Employer representatives, on the other hand, are more in favor of one-off payments. The minimum wage for the metal industry in the collective labor agreement is currently EUR 2,090 gross.
Source: Krone
I’m Wayne Wickman, a professional journalist and author for Today Times Live. My specialty is covering global news and current events, offering readers a unique perspective on the world’s most pressing issues. I’m passionate about storytelling and helping people stay informed on the goings-on of our planet.
